Latvian government on brink of collapse

The two largest parties in Latvia's squabbling coalition government have asked the prime minister to step down, a party official…

The two largest parties in Latvia's squabbling coalition government have asked the prime minister to step down, a party official said today.

The political woes have added to the economic problems of the small country, which last year had to take a €7.5 billion IMF-led rescue loan.

Mareks Seglins, chairman of the largest coalition party, the People's Party, told reporters he and the second-largest coalition party, the Union of Greens and Farmers, wanted prime minister Ivars Godmanis, who is from the third-largest party in the coalition, to step down, saying it was the only way to help boost public trust in the unpopular administration.

Mr Godmanis was due later to meet the president, a spokesman said.